Cork Airport rejects claims of business slump

CORK Airport strongly rejected claims last night of a slump in business.

Just a week after the release of record passenger figures, Fine Gael Senator Jerry Buttimer said he has received figures which show that in the past 12 months:

* the airport’s retail revenue has fallen by 12%;

* its car park revenue is down 16%;

* and airport operations are down 4% compared with this time last year.

Mr Buttimer said the figures were presented to the Cork Airport Authority this week and point to a financial crisis caused by continuing uncertainty about the airport’s debt levels and its battle to secure independence from the Dublin Airport Authority (DAA).

The CAA has submitted a draft business plan to the Department of Transport, factoring in its controversial decision to accept €113 million in debt.

However, significant issues need to be clarified before a final plan can be prepared.

But the airport rejected Mr Buttimer’s claims and said passenger figures for the first six months of the year are up 7% for the same period last year.

“The airport’s trading performance broadly reflects this,” a spokesperson said.

More than 1.6 million passengers used the airport in the first six months of the year — up by 100,000 people, or 7%, on the same period in 2007.

The airport said last week that it is on schedule to break last year’s record of 3.2 million passengers.

But Mr Buttimer said he stands over his figures and he called on the Government to address the situation. Years of Government dithering over the airport’s debt and the refusal by the DAA to give the CAA independence are responsible, he said.

He called on the Government and DAA to take leadership by immediately filling the vacant CAA chairman’s position and by clarifying the status of the airport’s debt.

“Cork Airport’s business plan is now effectively redundant due to the current recession, and a new plan must be drafted urgently to address the crisis,” he said.

“There is currently no chairman of the CAA and therefore no-one in situ to provide leadership.

“Even more seriously, the issue of Cork Airport’s outstanding debt has not been addressed and the Government has refused to provide any clarity on this issue for the last three years, in spite of initially promising to relieve the debt in full.”

CAA chairman Joe Gantly stepped down on Monday. Minister for Transport, Noel Dempsey, said he hopes to appoint a successor soon.